News African Swine Fever
China expects pig price to pick up
Tang Ke, an analyst at the Chinese Ministry of Agriculture, says that it is likely that the pig price will show an increase in the second half of 2019. The main reason for this is the limited supply of pigs, which is mainly caused by the outbreaks of African swine fever.
The Chinese Ministry of Agriculture is urging pig farmers to replenish their pig herds, especially to ensure that there are no major shortages. The number of breeding sows has decreased by 8% compared to last year. In addition, the entire pig herd shows a decrease of 5%.
Rising prices
In January, the Chinese pig price has not yet risen due to the outbreaks of African swine fever. However, according to Tang Ke, that will probably change soon. Not only he has this expectation, because also Rabobank reported that prices are likely to rise this year.
The outbreaks have made Chinese consumers more cautious about eating pork. As a result, the quantities of pork traded weekly have fallen by 14%. This also ensures that any deficiencies are less likely to come to light.
Hard measures
The virus is now gone over 100 companies found. The ministry says that more than 900.000 pigs have already been culled. If the spread continues, China will face major shortages. The country expects it to be able to cover the deficits with reserves for the time being, but that is only a temporary solution. As a result, an increase in pork imports is inevitable in the long term.
Tim Roetman
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